Brexit ‘Scare Games’: Africa Is Doomed

Reuters/Reinhard Krause
Reuters/Reinhard Krause

In the immediate wake of the UK referendum to get out of the European Union (EU), a flurry of articles have appeared, warning the world of the dire consequences to be expected now that Great Britain will be governing itself again.

A particularly grim essay in Quartz describes how Britain’s exit from the EU will have devastating effects on Africa’s already-stagnant economy.

Now that the United Kingdom has voted to leave the European Union, the article claims, African economies have “been thrown into confusion along with the rest of the world.” African countries may also have “less access to international capital markets and big infrastructure projects may have to be put on hold.” Why this should be is not exactly clear.

Specifically, Brexit “couldn’t have come at a worse time for Nigeria” and will test the nerves of economic managers “as global markets plummet,” it reads.

Bilateral trade between Nigeria and the UK “will be disrupted as trade agreements made under the auspices of the EU have to be renegotiated,” the article ominously portends, though it will evidently be in everyone’s best interest to renegotiate quickly, so that trade may continue uninterrupted.

Projecting further still, the piece suggests that a slowing British economy and its “reverberating effects” could also mean a drop in investment, trade, and remittances to Nigeria from the diaspora.

South Africa’s already battered economy may be the worst affected by Britain’s exit, the essay alleges, noting that as soon as the results of the UK vote became apparent, “the rand plunged during early morning trading, becoming the worst performing currency after the British pound.”

Kenya will also suffer, the piece claims, as capital flight puts pressure on the Kenyan shilling. “It’s going to affect all of us and there’s no insurance, no position we can take to maneuver ourselves to be in a better position,” said central bank chief Patrick Njoroge last month regarding the possibility of the UK leaving the EU.

Now that the UK referendum has passed, one would think that the scare-mongering might abate. After all, the die has already been cast.

What really seems to frighten the author, however, is the growing unrest that the British referendum underscores. It rightly notes that Brexit “is already fueling other independence campaigns,” with leaders in France, Holland, Italy, and Denmark calling for their own referendums on leaving the EU.

With globalist powers desperately trying to hold the EU together, the fear campaign may only be beginning.

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